The impact of the integrated reporting framework on corporate social responsibility (CSR) disclosures – the case of South African mining companies

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Barry Ackers ◽  
Susanna Elizabeth Grobbelaar
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
South African ◽  
Mining Industry ◽  
Integrated Reporting ◽  
Content Type ◽  
Stakeholder Orientation ◽  
Mining Companies ◽  
Corporate Social ◽  
The Impact

Purpose Despite initially being lauded as a revolutionary approach for companies to account to all stakeholders, the shareholder orientation of the international integrated reporting (<IR>) framework gave rise to questions about whether integrated reports would still sufficiently disclose pertinent corporate social responsibility (CSR) information. This paper aims to investigate the extent to which the <IR> framework has impacted the CSR disclosures contained in integrated reports of South African mining companies. Design/methodology/approach The study deployed a mixed methods research approach, involving thematic content analysis of the CSR disclosures contained in the integrated reports of mining companies with primary listings on the Johannesburg Stock Exchange. The resultant qualitative data were subsequently analysed using a T-test of difference. Findings The study observes that the release of the <IR> framework appears to have had a limited impact on the CSR disclosures in the integrated reports of most companies included in the study. However, where significant differences were identified, the CSR disclosures of some companies were positively impacted after the release of the <IR> framework, whilst others were negatively impacted. Research limitations/implications As South Africa is acknowledged as a leader in the global <IR> movement, the paper’s observations have global relevance and suggest that the fundamental principles of <IR> should be reconsidered to improve the alignment with stakeholders’ information needs, as originally conceived. Originality/value Despite the shareholder orientation of the <IR> framework, the global mining industry is acknowledged as being at the forefront of implementing CSR interventions to mitigate the adverse impacts of their operations on stakeholders, supporting a stakeholder orientation. As the adoption of <IR> continues to gain traction around the world, this paper’s contribution is that it represents one of the few papers to use the global reporting initiative G4 indicators to specifically examine the impact of <IR> framework on the CSR disclosures on the South African mining industry, where both <IR> and CSR reporting are quasi-mandatory disclosure requirements.

scholarly journals Assessing the potential impact of the Marikana incident on South African mining companies: An event method study

2015 ◽  
Vol 18 (4) ◽  
pp. 586-607 ◽  
Author(s):  
Nicholas Hill ◽  
Warren Maroun
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
South African ◽  
Mining Industry ◽  
The South ◽  
Statistical Research ◽  
Share Prices ◽  
Mining Companies ◽  
Potential Impact ◽  
Corporate Social

This study examines the potential impact of industrial unrest and the outbreak of violence at Marikana on 16 August 2012 on the share prices of mining companies listed on the Johannesburg Stock Exchange (JSE) using an event methodology. Contrary to expectations, the Marikana incident does not appear to have had a widespread and prolonged effect on the South African mining sector. This may be the result of the strike action already having been discounted into the price of mining shares, implying that the market was only reacting to the unusually violent (but short-lived) protest. Alternately, the results could be indicative of investor confidence in the corporate social responsibility initiatives of the South African mining industry as a whole. This paper is the first to examine the potential impact of the Marikana incident on the share prices of mining companies listed on the JSE. It should be of interest to both academics and practitioners wanting to understand how share prices react to exogenous events. It is also relevant for corporate-governance researchers concerned with the relevance of social and governance practices in a South African setting. This research is faced with the limitations associated with most statistical research: that causality cannot be ascribed to tested relationships. Notwithstanding these limitations, it is argued that these findings are important, given the significant coverage of the Marikana incident and the ongoing debate on the need for corporate social responsibility.

Corporate social responsibility in the mining industry: an exploration of host-communities’ perceptions and expectations in a developing-country

2018 ◽  
Vol 18 (6) ◽  
pp. 1177-1195 ◽  
Author(s):  
Gideon Jojo Amos
Keyword(s):  
Developing Countries ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Developing Country ◽  
Mining Industry ◽  
Current Debate ◽  
Test Case ◽  
Content Type ◽  
Mining Companies ◽  
Corporate Social

Purpose The purpose of this paper is to explore how and what drives corporate social responsibility (CSR) in host communities of mining companies in developing countries. Design/methodology/approach To address this knowledge gap, this paper used Ghana as a test case and conducted 24 in-depth interviews with participants drawn from mining host communities. Findings The paper discovered that while CSR is broadly understood and encompasses six thematic categories in the mining host communities, there are emphases on philanthropic and environmental responsibilities. Contrary to the evidence found in other studies, this paper discovered that CSR rhetoric plays a more positive/significant role than so far explored in CSR research, as it incentivizes the host communities to push for the fulfilment of their CSR expectations and/or CSR initiatives proposed by mining companies. Research limitations/implications Quantitative studies are needed to strengthen the findings from the present paper. Practical implications Because developing countries share similar socio-economic and geo-political realities, the findings of this paper may be applicable not only for CSR advocates, but also for policy-makers in developing countries. Originality/value The paper provides new inputs from a developing country perspective to the current debate about the CSR performance of the extractive industry.

Linking corporate social responsibility to trust in the banking sector: exploring disaggregated relations

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Toussaint Ciza Bugandwa ◽  
Eddy Balemba Kanyurhi ◽  
Deogratias Bugandwa Mungu Akonkwa ◽  
Benjamin Haguma Mushigo
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Developing Country ◽  
Banking Sector ◽  
Structural Equations ◽  
Legal Responsibility ◽  
Content Type ◽  
Stakeholder Orientation ◽  
Corporate Social ◽  
The Impact

PurposeThis paper has two purposes. First is to operationalise the concepts of corporate social responsibility (CSR) and trust in the context of a developing country, the Democratic Republic of Congo (DRC). Second purpose is to test in a disaggregated perspective the impact of each CSR dimension on trust.Design/methodology/approachData were collected from 264 customers of six banks and processed with exploratory, confirmatory factor analysis and structural equations using LISREL 9.1.FindingsCSR is found to have five dimensions: legal responsibility, social needs responsibility, product responsibility, environmental responsibility and employee responsibility; trust is found to be a three-dimensional construct: integrity, compassion and partnership. Each CSR dimension has a positive impact on customers' perception of trustworthiness.Research limitations/implicationsReliability of trust is not high enough, suggesting the need to deepen research in order to find a more adapted CSR scale for banks. The smallness of sample size might have influenced the robustness of our psychometric results. CSR and trust relationships might be analysed in a more enriched framework including service quality, reputation and banks' employee performance as moderating variables. This paper has measured the two concepts from the customers' perspective only. However, both CSR and trust are best understood in a stakeholder perspective. So, it might be insightful to extend future research in a stakeholder orientation perspective.Practical implicationsBanks from developing countries are also concerned with CSR and should invest in it. Clearly, each dimension of CSR should receive enough importance if Congolese banks are to recover their customers' trust. The findings of the study also suggest that banks' customers are aware of the necessity for banks to comply with the country's legislation. Non-compliance can have severe influence on customers' trustworthiness to banks.Social implicationsFinancial institutions are generally evaluated through financial indicators. The findings suggest that banks customers and other stakeholders begin a shift towards requiring their banks to invest in social and environmental activities in order to improve their local milieu. These aspects are still very neglected, or adopted only as marketing strategies to improve image, without a true willingness to be socially responsive.Originality/valueThe two concepts are measured in a context where they did not receive enough importance (developing country), hence providing new knowledge in the field. Further, a disaggregated approach allowed understanding the way each CSR dimension impacts trust, which had not been the case in previous research.

Mandatory corporate social responsibility assurance practices

2015 ◽  
Vol 28 (4) ◽  
pp. 515-550 ◽  
Author(s):  
Barry Ackers ◽  
Neil Stuart Eccles
Keyword(s):  
South Africa ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
South African ◽  
Listed Companies ◽  
Annual Reports ◽  
Content Type ◽  
Mandatory Requirement ◽  
Corporate Social ◽  
The Impact

Purpose – Despite its voluntary nature, the Johannesburg stock exchange (JSE) requires all listed companies to apply the King III principles, including providing independent CSR assurance. King III has accordingly made independent CSR assurance a de facto mandatory requirement, albeit on an “apply or explain” basis. The purpose of this paper is to examine the impact mandatory corporate social responsibility (CSR) assurance practices in South Africa, within a King III context. Design/methodology/approach – To understand the impact of King III on South African CSR assurance practices, a longitudinal study covering reporting periods both before and after King III implementation. The first stage reviewed the annual reports of the 200 largest JSE-listed companies to establish the frequency of CSR assurance provision. The second stage involved performing a content analysis on the CSR assurance reports. Findings – King III is driving the institutionalisation of CSR assurance practices in South Africa, as evidenced by the growth in CSR assurance since the implementation of King III. The study also found that the audit profession’s dominance was being eroded by specialist CSR assurors providing higher levels of assurance, despite concerns about the rigour of their assurance methodologies. Voluntary CSR assurance practices have resulted in the inconsistent application of CSR assurance practices, impairing the ability of stakeholders to understand the nature and scope of CSR assurance engagements. It is argued that this deficiency may be overcome through the imposition of a mandatory CSR assurance regime. Originality/value – The pervasive impact of the King Code of Governance on South African organisations makes it appropriate to examine its impact on South African CSR assurance practices. As such, this paper represents one of the first studies to specifically consider the impact of a mandatory regulatory requirement for independent CSR assurance and suggests a future direction for global CSR assurance practices.

Mandatory corporate social responsibility in India: reporting reality, issues and way forward

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Pawan Taneja ◽  
Ameeta Jain ◽  
Mahesh Joshi ◽  
Monika Kansal
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Mandatory Reporting ◽  
Content Type ◽  
Csr Reporting ◽  
Reporting Requirements ◽  
Expectation Gap ◽  
The Government ◽  
Corporate Social ◽  
The Impact

Purpose Since 2013, the Indian Companies Act Section 135 has mandated corporate social responsibility (CSR) reporting by Indian central public sector enterprises (CPSEs). CSR reporting is regulated by multiple Government of India ministerial agencies, each requiring different formats and often different data. This study aims to understand the impact of these multiple regulatory bodies on CSR reporting by Indian CPSEs; evaluate the expectation gap between regulators and the regulated; and investigate the compliance burden on CPSEs. Design/methodology/approach An interview-based approach was adopted to evaluate the perspectives of both regulators and regulated CPSEs on the impact of the new regulations on CSR reporting quality. The authors use the lens of institutional theory to analyse the findings. Findings Driven by coercive institutional pressures, CPSEs are overburdened with myriad reporting requirements, which significantly negatively impact CPSEs’ financial and human resources and the quality of CSR activity and reports. It is difficult for CPSEs to assess the actual impact of their CSR activities due to overlapping with activities of the government/other institutions. The perceptions of regulators and the regulated are divergent: the regulators expect CPSEs to select more impactful CSR projects to comply with mandatory reporting requirements. Originality/value The findings of this study emphasise the need for meaningful dialogue between regulators and the regulated to reduce the expectation gap and establish a single regulatory authority that will ensure that the letter and spirit of the law are followed in practice and not just according to a tick-box approach.

Comparative analysis of QISMUT+3’s Islamic corporate social responsibility

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Agung Nur Probohudono ◽  
Astri Nugraheni ◽  
An Nurrahmawati
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Statistical Testing ◽  
Content Type ◽  
Islamic Bank ◽  
Csr Disclosure ◽  
Corporate Social ◽  
The Impact ◽  
Positive Effect

Purpose The purpose of this study is to analyze the impact of corporate social responsibility (CSR) disclosure on the financial performance of Islamic banks across nine countries as major markets that contribute to international Islamic bank assets (Indonesia, Malaysia, Saudi Arabia, UAE, Kuwait, Qatar, Turkey, Bahrain and Pakistan or further will be called QISMUT + 3 countries). Design/methodology/approach Islamic Social Reporting Disclosure Index (ISRDI) is being used as a benchmark for Islamic bank CSR performance that contains a compilation of CSR standard items specified by the Accounting and Auditing Organization for Islamic Financial Institutions. The secondary data is collected from the respective bank’s annual reports and it used the regression analysis techniques for statistical testing. Findings This study found that CSR disclosure measured by ISRDI has a positive effect on financial performance. Almost all ISRDI sub-major categories have a positive effect on financial performance except the “environment” subcategory. The highest major subcategory for ISRDI is the “corporate governance” category (82%) and the “environment” category (13%) is the lowest. For the UAE, Kuwait and Turkey, the ISRDI is positively affected by financial performance and the other countries on this research are not. Originality/value This study highlighted the economic benefits of social responsibility practices as a part of business ethics in nine countries that uphold the value of religiosity. Thus, the development of the results of this research for subsequent research is very wide open.

Does corporate social responsibility affect dividend policy? Empirical evidence in the French context

2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Olfa Ben Salah ◽  
Anis Ben Amar
Keyword(s):  
Corporate Social Responsibility ◽  
Panel Data ◽  
Social Responsibility ◽  
Dividend Policy ◽  
Least Squares Method ◽  
Positive Impact ◽  
Alternative Measure ◽  
Content Type ◽  
Corporate Social ◽  
The Impact

Purpose The purpose of this paper is to focus on the impact of corporate social responsibility (CSR) on dividend policy in the French context. In addition, the authors seek to determine if the individual components of CSR influence dividend policy. Design/methodology/approach This study uses panel data methodology for a sample of French non-financial firms between 2008 and 2018. Generalized least squares method is used to estimate the models. Findings Using panel data methodology for a sample of 825 observations for the period 2008–2018, this study finds a positive impact of CSR practices on dividend policy. The authors also find that individual components of CSR positively influence dividend policy. To check the robustness of the results, this study further runs a sensitivity tests, including an alternative measure of dividend policy, all of which confirm the findings. Practical implications This study has examined the impact of CSR on dividend policy in France and may have implications for regulatory, investors, analysts and academics. First, the involvement in CSR best practices encourages companies to pay more dividends to investors. Therefore, investors are more motivated to invest in socially responsible firms than socially irresponsible firms. Second, given the association of CSR with the quality of accounting information and financial markets, regulators should step up recommendations relating to the different societal dimensions of CSR. Originality/value While little previous work has focused on the causal link between CSR and dividend policy, this research is the first, to the authors’ knowledge, to have looked at the impact of CSR on dividend policy in France.

Do board directors and good corporate governance improve integrated reporting quality? The moderating effect of CSR: an empirical analysis

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jamel Chouaibi ◽  
Saida Boulhouchet ◽  
Raghad Almallah ◽  
Yamina Chouaibi
Keyword(s):  
Corporate Governance ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Moderating Effect ◽  
Integrated Reporting ◽  
Board Diversity ◽  
Content Type ◽  
Board Characteristics ◽  
Good Corporate Governance ◽  
Corporate Social

PurposeThis paper targets to shed light on the relationship between board characteristics, good corporate governance and the integrated reporting quality (IRQ) and even if this relationship is moderated by the corporate social responsibility.Design/methodology/approachData from a sample of 185 European firms selected from STOXX 600 Index between 2010 and 2019 are used to test the model using panel data and multiple regression. This paper is motivated by using panel data estimated feasible generalized least squares method. A multiple regression model is used to analyze the moderating effect of the corporate social responsibility on the association between board characteristics, good corporate governance and the IRQ.FindingsConsistent with the expectations, the results showed that there is a positive relationship between board independence, board diversity, good corporate governance and IRQ. Furthermore, the findings suggest that moderating effect positively affects the relationship between the board characteristics, good corporate governance and IRQ.Practical implicationsThe results of this study have an impact on policymakers. The presence of women and independent members of the board should be encouraged. This has a positive effect on the availability of high-quality information, able to drive investment levels and stakeholder participation.Originality/valueThis study supports the existing literature. First, it expands the scientific debate on the topic of integrated reporting (IR). Second, it extends the scope of agency theory, which is rarely used to explain IR-related phenomena. This study is one of the first to examine the moderating effect of corporate social responsibility on the association between a set of governance characteristics (i.e. Board independence and board diversity) and integrated reporting adoption.

Corporate social responsibility of mining industries

2015 ◽  
Vol 57 (5) ◽  
pp. 367-372 ◽  
Author(s):  
Deepankar Sharma ◽  
Priya Bhatnagar
Keyword(s):  
Corporate Social Responsibility ◽  
Community Development ◽  
Social Responsibility ◽  
Large Scale ◽  
Mining Industry ◽  
Developed Countries ◽  
Advanced Technology ◽  
Foreign Firms ◽  
Content Type ◽  
Corporate Social

Purpose – This paper aims to examine the community development approaches of large-scale mining companies, with particular reference to how they may engender community dependency. Design/methodology/approach – The paper begins with a review of corporate social responsibility (CSR) in the mining industry, corporate community initiatives and the problem of mining dependency at a national, regional and local levels. Findings – It outlines some of the reasons why less-developed countries (LDCs) experience under-development and detrimental effects as a result of their linkages with industrialized countries. LDCs are not able to take advantage of advanced technology and management skills due to being relatively poor in capital and skills, and foreign technologies compete unfairly with and destroy local production techniques, creating a pool of unemployable “marginalized” people. Holder’s of investments in LDCs demand annual returns for continued support – profits are taken out of the country or guaranteed by tax concessions. Unwillingness of foreign firms to train local people to take over management positions. Originality/value – This paper explores how the need to address sustainability issues has affected communities, and whether community development initiatives have been effective in contributing to more sustainable communities.

The impact of existence of royal family directors on corporate social responsibility reporting: a servant leadership perspective

2019 ◽  
Vol 15 (1) ◽  
pp. 120-136 ◽  
Author(s):  
Abdulsamad Alazzani ◽  
Yaseen Aljanadi ◽  
Obeid Shreim
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Servant Leadership ◽  
Leadership Theory ◽  
Royal Family ◽  
Content Type ◽  
Csr Reporting ◽  
Family Leadership ◽  
Corporate Social ◽  
The Impact

PurposeDrawing on servant leadership theory, this study aims to investigate whether the presence of royal family members on boards of directors impacts corporate social responsibility (CSR) reporting.Design/methodology/approachCSR scores from a Bloomberg database are used and royal family data are collected from annual reports. The required analyses to test the hypotheses of this study have been performed.FindingsThe findings demonstrate a positive relationship between the presence of royal family directors and CSR reporting.Originality/valueThis study seeks to contribute to the literature on servant leadership theory and CSR by highlighting the impact of royal family directors on CSR reporting. This study may also contribute to an understanding of royal family leadership as a predictor of CSR reporting.

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